The proposed $103,265 H-1B fee: what it means for workers and applicants

If you are on an H-1B, or planning to apply for one, you have probably seen the $103,265 figure making the rounds.

It sounds like every H-1B worker is suddenly facing a $103,265 bill. That is not what the proposal says.

On August 25, 2026, the Department of Homeland Security (DHS) published a proposed rule that would introduce a $103,265 fee for certain H-1B petitions.

The important part: the fee is proposed, not currently in effect.

Here is who could actually be affected.

Who would have to pay the $103,265?

The proposed fee would apply to H-1B cap-subject petitions, in other words, petitions that are subject to the annual H-1B lottery.

That includes the master’s cap. Having a U.S. master’s degree would not, by itself, exempt an applicant from the proposed fee.

The proposal would not apply to cap-exempt H-1B petitions, such as certain petitions for workers employed by universities, nonprofit research organizations, and government research organizations.

So if you are already working in the U.S. on an H-1B, the first question is not “How do I pay $103,265?”

It is: Is my particular H-1B petition subject to the proposed fee?

Cap-subject vs. cap-exempt matters a lot

This distinction is easy to miss in the headlines.

A cap-subject H-1B is generally one that goes through the annual lottery.

A cap-exempt H-1B is generally outside that annual quota. Universities and certain nonprofit or government research organizations are common examples.

That means two people doing almost identical jobs could be treated very differently under this proposal depending on their employer.

For example, a researcher working directly for a university could be outside the proposed fee, while someone doing similar research for a private company could be affected.

If you are choosing between employers, this distinction could become very important.

What about the $100,000 H-1B payment?

There is another number causing confusion: $100,000.

The proposed $103,265 fee would be separate from the $100,000 payment introduced by the September 2025 presidential proclamation.

So these are not two names for the same fee.

If both measures were applicable at the same time, they could potentially apply separately.

That is one reason it is important not to treat every headline about “the $100,000 H-1B fee” and “the $103,265 H-1B fee” as referring to the same thing.

What if you are already in the U.S. on an H-1B?

For now, don’t panic.

The $103,265 fee is not currently being charged under this proposed rule.

If you are considering an H-1B extension or changing employers, however, it is worth paying attention to how the proposal develops. The final rule could change after the public comment period, and the final requirements may not be identical to the proposal published by DHS.

Your employer’s immigration lawyer or HR immigration team should be able to tell you whether a particular petition would be affected.

What if you are waiting for the H-1B lottery?

This is where the proposal could have a much bigger impact.

If you are considering entering the H-1B process through the annual cap, the proposed fee could make sponsoring an H-1B dramatically more expensive for an employer.

That does not automatically mean the worker has to personally write a $103,265 check. Who is responsible for paying a particular immigration fee depends on the applicable rules and the petition.

But practically speaking, a six-figure additional cost could affect an employer’s willingness to sponsor someone.

For international students, people on OPT, and workers currently outside the U.S., this is probably the part worth watching most closely.

What can you do now?

There are three sensible things to do.

If you may be affected, you can submit a public comment. The current deadline is September 24, 2026. A correction to the proposed rule was published on September 10.

If your employer is preparing an H-1B petition, ask whether it is cap-subject or cap-exempt. That is one of the most important facts for understanding whether the proposed fee could apply.

And if you are seeing posts saying that every H-1B worker now owes $103,265, don’t take them at face value. The $103,265 fee is still a proposal. It is not a fee that every H-1B worker is currently being asked to pay.

The situation may change as DHS reviews public comments and moves toward a final decision, so this is one to keep watching rather than reacting to the headline.

Sources: Federal Register: Fee for Certain H-1B Petitions · Miller Mayer